A large mining farm illegally connected to the power grid was discovered in Makhachkala. According to "Dagenergo," the damages from its operations exceeded 180 million rubles. The discovery of this farm is yet another example of large-scale violations in the region's energy consumption sector.
Discovery of the Mining Farm in Makhachkala
The farm, reported by acting director of "Dagenergo" Arsen Gadzhiev, was located in Makhachkala and included 408 cryptocurrency mining devices. The owners arranged an illegal connection to the power grid, allowing them to use over 27 million kilowatt-hours of electricity without payment. Such actions lead to significant losses for energy companies and create additional risks for the stability of the power supply.
Similar cases of illegal mining have previously been recorded in other regions, for example, in Dagestan disguised as a greenhouse or in the Kemerovo region.
Damages and Consequences
The total damages from the Makhachkala farm's activities exceeded 180 million rubles. Illegal electricity consumption directly affects honest consumers by increasing the load on the network and potentially causing power outages. Materials regarding the identified violation have been handed over to law enforcement for further investigation.
Regulation of Mining in Russia
Starting January 1, 2025, a government decree will come into force in Russia, fully banning cryptocurrency mining in 10 regions, including Dagestan. This ban will remain in effect until March 2031. Additionally, three regions have introduced partial mining restrictions during the heating season. These measures aim to prevent illegal electricity consumption and ensure the stability of the energy system.
Response and Further Measures
Arsen Gadzhiev noted that combating illegal mining remains a top priority for "Dagenergo" and other regional energy companies. When such violations are detected, materials are promptly forwarded to law enforcement. Offenders face serious consequences, including criminal liability and substantial fines.
Why This Matters
The situation for miners in Dagestan and other Russian regions is becoming increasingly strict. Illegal connections to the power grid not only cause significant financial losses for energy companies but can also lead to criminal prosecution. Furthermore, the bans coming into effect in 2025 make legal mining impossible in several regions, including Dagestan.
What Should You Do?
- If you are engaged in mining, closely monitor changes in legislation and regional restrictions.
- Do not use illegal schemes to connect to the power grid—this can result in hefty fines and criminal liability.
- Assess the risks and seek legal ways to operate if mining is permitted in your region.
- Stay updated on sanctions and consequences of illegal mining in Russia.
